FTC, states sue Ticketmaster for deceptive ticket sales practices

The Federal Trade Commission accused Ticketmaster and parent company Live Nation Entertainment of using deceptive sales tactics and bait-and-switch pricing while selling event tickets, according to a Thursday lawsuit. Regulators alleged that the companies allowed and facilitated brokers to buy up tickets for a higher resale price. The filing also accused the companies of advertising ticket prices as lower than what was available to consumers, and exceeding artist-imposed limits on ticket sales to brokers. Attorneys general from Colorado, Florida, Illinois, Nebraska, Tennessee, Utah, and Virginia joined the lawsuit.

America’s live entertainment is the best in the world, according to FTC Chairman Andrew Ferguson. He said it shouldn’t cost an arm and a leg to take the family to a baseball game or to see a good band. The lawsuit is a step to ensure fans are able to buy fairly priced tickets, Ferguson said.

What kind of evidence is the FTC citing? Regulators cited an internal email in which a Ticketmaster executive admitted to turning a blind eye when brokers violate policies on ticket limits. Ticketmaster executives internally acknowledged the company engaged in deceptive pricing after research showed fans were less likely to purchase tickets when they knew the full cost up front, the FTC said. Ticketmaster raked in about $16.4 billion in fees between 2019 and 2024, and in order to maximize profits it chose not to use technology to stop brokers from breaking ticket limits, according to regulators. Ticketmaster and Live Nation did not immediately respond to WORLD’s request for comment. 

Dig deeper: Read my previous report about the FTC’s deceptive practice lawsuit against Uber earlier this year.